VA Loans can be one of the most valuable tools available for Fort Lauderdale citizens looking for a mortgage. However, it can be hard to understand some of the regulations and rules associated with government-funded programs, but with a little bit of knowledge and increased understanding of the guidelines, you can be more confident when going to a lender and applying for a VA loan to purchase your dream home in Fort Lauderdale. This article covers some of the qualifications, rules, and benefits of VA loans as well as provides advice on choosing a lender.
What is a VA Loan?
A VA loan is a home mortgage program, set up and guaranteed by the Veterans Administration to help our military service men and women afford housing for themselves and their families. Despite its extraordinary benefits and easier accessibility than some conventional loans, it is widely underutilized by the service members who are eligible. If you think that you could qualify for the VA loan, please contact a trusted lender today to discuss all the items listed in this article to see if this program may be a proper fit for you and your family.
How Do You Qualify for the VA Loan?
As a benefit provided through The United States Department of Veteran’s Affairs, a VA loan has requirements set by the VA that must be met for military members to qualify. Below are a few of the qualifications necessary to receive a VA loan.
- You are a military member who has served on active duty for 90 consecutive days during a time of war
- You are a military member who has served on active duty for 181 days during a time of peace
- You are a member of the National Guard or Reserves who has served more than six years
- You were married to a service member who died due to a service-related injury or disability
If you meet one of the above categories, you may qualify to apply for a VA loan. Unfortunately, meeting the qualifications to apply does not guarantee approval; however, the requirements for a VA loan are different than any of the other mortgages currently available on the market.
What are Some of the Rules and Regulations for VA Loans?
Like all home mortgages, as the borrower, you must meet some requirements. While each lender has additional specifications here are some of the general VA requirements:
- Satisfactory credit
- Meet income levels
- Have a Certificate of Eligibility (known as a COE)
- Some lenders can help you get this, or you can get your Certificate of Eligibility
- The home that you are purchasing must be for you and your family’s occupancy.
After determining if you qualify, you will then go through the application process to see if you meet the above guidelines.
What are the Benefits of Getting a VA Loan?
Just like every other mortgage program available, there are specific merits and benefits to the VA Loan program, and because this program is a VA benefit, it has some pretty incredible advantages over a conventional loan. This next section covers a few of the most well-known aspects of the VA loan.
- $0 required for a down payment.
- No private insurance required
- This is a fee on a standard mortgage that protects the lender when the borrower is unable to pay a 20% or more down payment.
- Great Interest Rates
- Able to count your basic allowance for housing as part of your income.
- The lender cannot charge a prepayment penalty on a VA loan
With benefits like these, it is easy to see why this program is one of the most used VA benefits available.
NHL Lending and Your Fort Lauderdale VA Loan
Here at Nationwide Home Loans, we have a team of specialized loan officers who deal with VA Loans and their associated rules on a regular basis. Our office is experienced and knowledgeable when it comes to the process required to secure funding for individual benefits and VA mortgages. If you are looking to get a VA loan or want to shop different mortgage solutions that are available to you, contact our team at NHL Lending and let us help you decide what the best financing options are for you and your new home.